1. If the return on stock A in year 1 was 15 %, in year 2 was -4 %, in year 3 was -10 % and in year 4 was -8 %, what was the average annual return for stock A over this four year period?

2. If the risk free rate is 5 %, the expected return on the market portfolio is 12% and the beta of Stock B is 0.7 , what is the required rate of return for Stock B according to the Capital Asset Pricing Model (CAPM)? (Round your answer rounded to one decimal place and record without a percent sign)

PLEASE write out the work and answer clearly with the answer number and answer clearly labeled!